The Nyayo Tea Zones Development Corporation Chief Executive Officer (CEO), David Chepkony, was grilled by the Public Investments Committee on Social Services, Administration, and Agriculture (PIC-SSAA) on Monday following reports of the dismissal of staff after a stock theft.
During the session, he narrated how stock had been stolen from the premises in a suspected burglary, leading to the dismissal of several staff members.
According to the Corporation’s Director of Human Resources, preliminary investigations by the police failed to show any conclusive evidence of a break-in and pointed to the stock having been taken over time and the theft being an inside job.
Due to this discovery, the HR revealed that a decision was made to let go of all staff suspected of having been involved in the scheme, even though there was insufficient evidence implicating them.
"When this matter was reported to the police, investigations showed that the stores were not broken into. There were no signs of forceful entry, but items were missing, suggesting that they could have been taken over time,” he stated.
"The insurance would only compensate if there was proof of forceful entry. As a result, all staff involved were subjected to disciplinary measures, leading to dismissal."
The Committee also raised concerns over the Corporation’s long-standing issues with outstanding trade debtors.
On this, the corporation's management acknowledged that it had been facing a persistent challenge spanning several years, although staff were required to clear their debt with the corporation before leaving.
“The nature of our operations often requires staff to clear their debts with the Corporation when leaving. Some managed to settle their debts fully, but others, unfortunately, were unable to do so," the finance officer relayed.
In cases where the debtors were deceased, however, the matter was more complicated and a cautious approach is often taken by the corporation.
"In such cases, we don’t write off the debt immediately. We hold on to the claim and explore whether it can be offset against any benefits due," he added.
Former employees who moved to other institutions are often actively pursued to make their repayments, with over Ksh3.3 million having been made to cover these amounts.